Netflix is formally shopping for Warner Bros. What occurs subsequent?

It is official: Netflix is shopping for Warner Bros. in a sale price a towering $82.7 billion.

Introduced by Netflix on Friday, the 2 firms have reached a “definitive settlement” by which Netflix will purchase Warner Bros. and all its movie and TV studios, together with HBO and its streaming platform HBO Max. In keeping with the SEC submitting, the sale was “unanimously accredited” by each Netflix and WBD’s boards.

The sale’s whole fairness worth (what Netflix pays for WBD’s shares) sits at $72 billion with an enterprise worth (what Netflix pays for WBD plus debt) of $82.7 billion, with Netflix valuing WBD at $27.75 per share.

Netflix landed the profitable bid after WBD rejected three affords from Paramount Skydance, and a bid from Comcast to merge NBC Common with Netflix. The landmark sale is predicted to shut after WBD’s International Networks division, Discovery International (a separate firm from WBD’s Streaming and Studios, they had been break up in June 2025), turns into a brand new publicly-traded firm in Q3 2026.

Subsequent, Netflix and WBD have to have their filed settlement accredited by the US Securities and Change Fee (SEC).

“Our mission has at all times been to entertain the world,” stated Netflix co-CEO Ted Sarandos in a press assertion. “Collectively, we can provide audiences extra of what they love and assist outline the subsequent century of storytelling.” Netflix co-CEO Greg Peters added that the acquisition “will enhance our providing and speed up our enterprise for many years to come back.”

“Right now’s announcement combines two of the best storytelling firms on the planet to carry to much more individuals the leisure they love to observe essentially the most,” stated WBD CEO and president David Zaslav in an announcement.

What does this imply to your streaming companies?

Primarily, the Netflix/WBD deal means the identical streamer that owns mega hits Stranger Issues and KPop Demon Hunters will even personal HBO’s library, together with the Recreation of Thrones and Harry Potter universes, in addition to DC Comics and Warner Bros. Video games. That is lots of IP. The deal is the largest streaming transfer for Warner Bros. Discovery because it merged HBO Max with Discovery+ in 2023.

In its launch, Netflix stated it “expects to keep up Warner Bros.’ present operations and construct on its strengths, together with theatrical releases for movies.” However most likely extra related to your private streaming habits, the corporate described the titles of HBO and HBO Max as “a compelling, complementary providing” for Netflix clients, which appears like we’ll most likely be seeing bundles or merged content material libraries up forward.

“By including the deep movie and TV libraries and HBO and HBO Max programming, Netflix members can have much more high-quality titles from which to decide on,” the corporate stated. “This additionally permits Netflix to optimize its plans for customers, enhancing viewing choices and increasing entry to content material.”

Netflix additionally mentions the acquisition would enable the corporate to broaden studio manufacturing capability and enhance funding in unique content material.So till the SEC approves the deal, nothing will change in both of your streaming companies. For now.